Just closed on first property. Best way to utilize equity for next property?

[Brice McGee]

Hey everyone, 

I've been reading BP books and following along in the forums trying to learn as much as possible and I'm finally making my first post. I recently graduated college and moved back down to Louisville. I'm working in Commercial Property Management and trying to get my start in Real Estate Investing. 

I just closed on my first property and was able to get a great deal on it. It appraised for $50K more than the purchase price giving me a great deal of added equity. My plan is to use this equity to keep the ball rolling and put money down on my next property. I am wondering what the best way to go about this would be? With currently having a higher interest rate I thought refinancing if rates were to go down and using that approach could be a good option. What do you guys recommend is the best way to pull equity for my next property?

Happy to be here and look forward to engaging in the community!

[Jonathan Greene]

I like the way you are thinking, but I would not move too quickly in this market. After you get your first property, your real job is to make sure that property is running at the best it can be. Spend money on repairs and replacements now instead of buying into a second potential headache with more things that can break at the same time. Keep your eyes open for that second deal, but make sure you won't get some unexpected costs coming on your first property.